RE:RE:RE:BOLD statement...Not so sure how you can ascertain that EN indicates there is, "nothing about the company itself that is particularly compelling", but to each his/her own.
In the BNN segment he indicates that SGY has "room to grow... it's a stock that is going to work well in an oil bull market and scream extrememly well with $100 oil... it has upside with the technology being used at Sparky and other wells of interest... it is on his radar and watching it on a daily basis". And of course, by his own admission, he has a position in SGY. The upside that EN speaks off is the technolgy (water flooding) that Surge is using at the Sparky play and other wells of interest.
One more thing... EN does NOT refer to Surge's assets as being Tier 3. What he says is this: "They are sitting on a couple of wells (of interest), which if successful, the upside is that you're taking crappy Tier 3 inventory on the fringes and improving the economics by improving oil well productivity rates."
In other words, oil that they may not have been able to recover will now be recoverable using the waterflooding method, thus enhaning the value of those wells.
It should be noted as well that Surge's wells contain high quality, light oil and medium oil reservoirs that are low cost, low risk and low decline.